Business
Hermes Lawsuit Claims Luxury Retailer Reserves Its Famed Birkin Bags Only For Its Biggest Spenders
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Hermes is the object of a new lawsuit alleging the luxury retailer of only selling its renowned Birkin handbags to customers who had spent a lot of money at the store on other items.
The proposed federal class-action complaint, filed this week in San Francisco, claims that Hermes violates antitrust law by requiring buyers to purchase other items in the store before being permitted to purchase a Birkin bag from Hermes.
Hermes Lawsuit Claims Luxury Retailer Reserves Its Famed Birkin Bags Only For Its Biggest Spenders
Birkin handbags, created from leather by artisans in France, can cost tens of thousands or hundreds of thousands of dollars on the secondary market and are seen on the arms of celebrities such as Jennifer Lopez, Kim Kardashian, and Cardi B. The handbags may only be purchased in a Hermes store, not through its online.
However, the complaint contends that the average client must do more than just stroll into a Hermes store, see a Birkin on display, and purchase it. Instead, “deemed worthy” customers will be shown a Birkin in a private room.
According to the lawsuit, Hermes sales workers are responsible for identifying qualified customers to purchase Birkins.
Hermes Lawsuit Claims Luxury Retailer Reserves Its Famed Birkin Bags Only For Its Biggest Spenders
The lawsuit claims that “these sales associates are directed by Defendants to only offer Birkin handbags to consumers who have established a sufficient” purchase history” or “purchase profile” with Defendants or Defendants’ ancillary products such as shoes, scarves, belts, jewellery, and home goods.
While sales associates do not receive a commission for selling Birkins, the lawsuit claims that they are trained to utilize the Birkin purses to pressure customers into purchasing other products for which they are paid a 3% commission.
The company waited to immediately reply to a request for comment early Thursday.
Hermes Lawsuit Claims Luxury Retailer Reserves Its Famed Birkin Bags Only For Its Biggest Spenders
The lawsuit seeks class-action status for all residents of the United States who have purchased or been asked to acquire auxiliary products to purchase a Birkin over the last four years.
The plaintiffs are seeking specific monetary damages and a court order against the companies’ alleged selling techniques.
SOURCE – (AP)